Summary
To: Mayor & Commissioners
From: JP Murphy, Town Manager
Date: 8/2/2019
______________________________________________________________________
Subject: Belleair/Belleview Biltmore Country Club Corp. - Letter of Intent
Summary:
The Belleair Country Club (BCC) has decided to make an offer to lease the parcel of land known as Waterfall West Park. The parcel extends westward toward Clearwater Harbor from the Bayview right-of-way just north of the bridge. Attached for your consideration is a letter of intent which sets forth the specific terms upon which BCC is prepared to lease this property from the Town. Representatives from BCC will be at the meeting to make their offer. The summary terms are:
$100,000.00, payable in full at Rent Commencement
Years 1-5: $10,000.00 per year (total of $50,000.00)
Years 6-10: $10,500.00 per year (total of $52,500.00)
Years 11-15: $11,025.00 per year (total of $55,125.00)
Years 16-20: $11,576.25 per year (total of $57,881.25)
Years 21-15: $12,155.06 per year (total of $60,775.30)
Years 26-30: $12,762.81 per year (total of $63,814.05)
“Triple Net”,
BCC responsible for all Maintenance inclusive of the seawall.
Please see the attached document for more detail.
Body
Previous Commission Action: The commission has previously held several public meetings on the issue including two open-house discussions at the parcel itself.
Expenditure Challenges: If the commission choses to move forward, I recommend ordering an appraisal of the land, and an engineer’s opinion of the seawall.
Financial Implications: Without discounting the offer, and exclusive of non-enumerated costs for maintenance or the seawall, the total value of the first term of the agreement is $315,506.25. At a five percent (5%) discount rate the Net Present value of the terms is $232,325.
Recommendation: If the Commission choses to move forward, I recommend an appraisal ordered, and specific direction on any desirous terms.
Proposed Motion: None Provided.